The world's largest sovereign wealth fund will undergo the most drastic changes to its mandate in decades as it ratchets up investment risk and pulls back on the amount of oil money it can spend if the Norwegian government's proposals are approved.

Nine disputed trades that Libya's sovereign wealth fund (SWF) entered into with Goldman Sachs were unsuitable by "dint of risk and complexity", according to an expert witness at a trial in London's High Court.

A Libyan official who helped review billion-dollar investments with Goldman Sachs said he had never heard of the bank or the word derivative before joining the country’s $60bn sovereign wealth fund in 2007.

A dispute between Libya's $67bn sovereign wealth fund and Goldman Sachs over advice given on trades made in 2008 will be back in London's High Court on May 5, with amended court papers that emerged on Wednesday adding new details.

Bank of New York Mellon Corp has disclosed in a filing that U.S. regulators are considering charging it with violating U.S. foreign bribery laws after an investigation into internships it gave to relatives of sovereign wealth fund officials.

The world's largest sovereign wealth fund will undergo the most drastic changes to its mandate in decades as it ratchets up investment risk and pulls back on the amount of oil money it can spend if the Norwegian government's proposals are approved.